Amazon is to axe hundreds of staff across its subsidiaries Twitch, Prime Video, and MGM studios.

Axar.az reports that more than 500 Twitch employees a third of the streamer's workforce will be laid off, according to a note from chief executive Dan Clancy.

Amazon said several hundred employees at Prime Video and film studio MGM will also lose their jobs this week.

The tech giant laid off more than 27,000 staff members in 2023 despite bumper profits.

Twitch was initially set up for gamers to watch and share video gameplay online. It was bought by Amazon in 2014 for $970m (£585m at the time).

In an email to employees, Mr Clancy said he was taking the "painful step to reduce our headcount" to "build a more sustainable business".

He added that the company paid out $1bn to streamers in 2023, but had "conservative predictions of how we expect to grow in the future."